Uncovering investment candidates using financial analysis. Making sense of the myriad of financial data and turning it into actionable information.

Monday, January 14, 2013

Sum of the Value Indicators and Sum of Quality of Earnings Indicators

We need to sum the Value Indicators. I did it in Excel as I was having trouble today making a spreadsheet in Google Docs that pulled information from several spreadsheets.

I also re-did the quality of earnings one as it was getting out of date.

As I mentioned in the last post, STO and cautiously PZE look good.

When I put all three pieces together, I don't like anything. CVX looks great from an indicator perspective, but it is over-valued according to the theoretical price.

STO is good in the value indicators, but its quality of earnings is poor, which gives me a lower level of confidence for the financials themselves.

PZE isn't a candidate for me because I can't get to the bottom of the discrepancy in the financials AND the website is in Spanish, so I would have trouble doing further research on their management.

So, for me, right now, there is no investment candidate in U.S. Integrated Oil & Gas. The good news, however, is that we've gone through all of the indicators in minute detail, which is kind of tedious, and from here on it we can look at things much faster using financial analysis software.